The Power of Ideas

It is that time of the year again! The selection process for the best ideas from the Power of Ideas contest has started - the last date for applications is 25 June 2012.
So, here as some of my thoughts:

1. Innovation is overrated. While ideas must possess at least some components that demonstrate individualism, and ideation, it is not important that every good idea must be innovative.  So, if you have an idea that you believe has already been tried in a different context, but could still work for you, go ahead!
2. Research, Research, Research.  Every idea feels sexy.  In fact, ideas give entrepreneurs a high.  But do not imagine that just because you 'feel' it is a great, it actually is a  great idea. Do your research, and be thorough about it.  Do not be afraid to trash your idea, or to modify it based on your research. Most important, take as many opinions from as many sources as possible, before you freeze on 'the idea'.
3. If you have not executed it, it is not proven.  I see a lot of people who come up with ideas which have not been executed.  On paper, it is not difficult to conceive of a great business venture.  Even before you start raving about it, make the first steps in trying to prove that it works.  This means that you need to have made it work, at least bagged a few clients, or if not, at least got to a stage where clients show an interest.
4. It is all about you.  Finally, remember that it is only you that matter.  It must be your passion, your perseverance, your ability to convince all around you, and finally, your ability to communicate the same energies to people around you. 

Happy entrepreneurship, and hope your idea is selected in the Power of Ideas!

VOC - Lost and buried

I have believed for quite some time now that the voice of the customer, the pivot on which most companies survive, is dead.  In their greed to accumulate customers, VOC has taken a complete back-seat.  As a result, all means for customer acquisition are considered fair; no means for customer satisfaction are considered necessary.

Here are some examples of what the rules say, and what the companies do:

1. TRAI (Telecom Regulatory Authority of India) has come out with recent guidelines which specify that no advertisements should last for more than 12 minutes to the hour, that there should be no overlapping advertisements/commercials while a program is being viewed, that the volume of the advertisement should not increase more than the volume of the program, etc.  All these rules are being routinely violated with impunity by all channels that are being aired.
2. IRDA (Insurance Regulatory and Development Authority) has set standards that mandate that a  grievance must be addressed within 3 days from the date of registration.  I have attempted to register a grievance with one Insurance agency whose policy I was unwittingly made to subscribe to.  The insurance agency refused to take a complaint, stating that a) it was not the correct office, and b) that they had no means of recording the grievance.  Needless to mention, I had to redirect my grievance to Mumbai and their response (which in any case was negative) came way after the prescribed 3 days.  Incidentally, a follow up mail to IRDA elicited no response. Interestingly, IRDA has redressed a total of an insignificant 31 complaints in the last 5 years of its existence! Given the number of false claims being made by practically all insurance agencies, as is commonly known, something is certainly not correct. 
3. In the month of April 2012, DGCA (Directorate General of Civil Aviation) registered only 890 complaints from all airlines.  Surprisingly, Kingfisher Airlines, which has possibly had the worst performance in the last few months, has registered the least number of complaints at 1.1 for every 10,000 passengers. So, the irate passengers that we saw talking on TV were not complaining?

While companies have cared less about their customers, I have started believing that the consumer does not care either. Criticism by consumers of services of companies is fairly rampant, but consumer activism is completely missing.  I hope that with increasing pressure on companies to perform, and decreasing propensity of consumers to spend money indiscreetly, this trend will change in the coming few years. Flogging consumers for their money without caring for them will eventually lead to their demise.

Unfortunately, the government departments (such as the ones mentioned above) are neither, nor interested in ensuring that the Voice of the Customer is heard and that he is cared for.  Even Government run programs such as 'Jago Grahak Jago' has failed in its objectives and is only sporadic in its activities.  I have tried the National Consumer Helpline number (toll free) 1800-11-4000, and have received a message that the number does not exist!! If anyone has been able to reach them, please let them know that their number does not work.

Unless this mantle is taken over by a set of strongly motivated individuals, it is unlikely to make any meaningful dent to the way consumers get routinely trashed in India. 

Reading the fine print

Nothing ain't perfect! We all know that, and in India, many of us are also resigned to that fact.  With the vast imbalances in what a customer expects, and what is available, delivery itself is seen as a boon. It is only of late that some discerning Customers have started demanding services from their service providers.
Customer activism has been the cause of death of many brands, but unfortunately in India, companies still get away with only providing lip service in the name of Customer Care.
The Government too has come out with a national helpline http://www.nationalconsumerhelpline.in.  But then, beware, quite a few of the links do not work, the phone number does not work (1-800-11-4000); or at least it did not work when I called. In any case, how can one expect the Government to be a better service provider than the service providers themselves? Even the Annual Report for 2010 (http://www.nationalconsumerhelpline.in/DataFiles/ANNUAL%20REPORT-2009-10.pdf)  shows a total of only 70 thousand complaints.  And, finally, there is no mention of how many of the complaints were resolved. Given the amount of publicity, and the possible number of unsatisfied consumers, this is probably a cruel joke!  
Here are a a few recent examples from my experiences with some of the large service providers/companies in India.  I am deliberately leaving in the names of these reputed companies because it is necessary for others to also relate with these stories, and ensure you raise your voices.  
1. I have been using a reliance broadband card which was given to me on the promise of unlimited high speed access to data all across the country.  I have had the following issues, which I dutifully raised to Reliance:
a) It does not provide the 3.1 MBPS speed that is promised in Metros.
b) It frequently breaks down in the middle of usage.
c) It stops functioning precisely at 10:00 p.m. at night and then restarts.  So if you are in the middle of any activity, beware!
On complaining, the Sales person of reliance came posing as the Customer Service agent, and guess what! He informs me that the connection I have taken is a very old one, and that I should upgrade.  So, will an upgrade guarantee better service? No way! I am told that once I exceed the limit (BTW, I was sold an 'unlimited' use package), the speeds will automatically drop.
2. A few days ago, I received a funny call on my mobile (BTW, I am on the DND, but that is another story altogether) from someone claiming to be from ICICI. And he asks if I have ever purchased a ICICI Prudential Insurance.  Yes, I did, and why was he asking?  Well, was I informed by the 'agent' (which, incidentally, was ICICI bank) that they would charge a commission?  No, I was not.  Oh! In that case, the commission of Rs.45,000 (on an insurance premium of Rs.1,50,000) would be refunded to me. For this, I would need to confirm on another call which would be made soon to me, and then keep it confidential - not even talking to my bank, ICICI Bank about it.  I could claim this amount then, in either of two methods - include it back in my policy amount, or guess what? take another ICICI Insurance scheme!!
3. Axis Bank account routinely changes its access policies (as I am sure other banks also do).  They keep positing an enhanced security feature on their website. I have sincerely complied with their requirements of forms to be filled up and submitted.  And in spite of all of this, the website blocks me, only because internally someone within Axis Bank forgot to update the contents.  The last time I faced a similar pain, I complained directly to Ms. Shikha Sharma, and surprisingly the entire issue was resolved within 24 hours! I guess that is what it takes to get things corrected.
4. My mobile service provider is Airtel. I hate getting unsolicited messages or phone calls on my mobile, and there can be nothing more irritating especially when one is in a meeting.  I had set up my DND and have probably complained about this at least 30 plus times.  And yet, I keep receiving unsolicited phone calls.  When you complain, you are asked for the date and exact time of the call/message, and you are informed that the complaint will be resolved in 7 working days.  And at the end of this time, you will invariably receive another message saying that this complain pertains to another service provider and therefore no further action can be taken!
5. Finally, the Government.  It has now been made mandatory to do most transactions online. So, you need to pay taxes online, to submit returns online, and so on.  That is, of course, provided that your online bank account works, your internet works, and the website itself works at the time that you want to log on!

We all desire the best of services, and while India appears to be hurtling towards the future at a stupendous growth rate, which is debateably anywhere between 7% to 9% depending upon who is talking, the gaps between what is required and what is available keeps ever widening.  The only remedies that I can see are that we create collective furore as paying consumers, and build pressure on the service providers to deliver.  It is best to start a collective boycott of those companies which do not deliver consistently.  Spread the word, and let only the most deserving companies survive!

Companies, beware! As you grow your customer bases, be aware that we consumers will define which of you deserves to continue to benefit you and which do not. Providers: start reading the fine print.  Do not take us for granted.

Perpetuating a Truth

For the past few weeks, I have been frustrated by the constant bandhs, blockades, and petty destruction of property across Hyderabad and perhaps in other cities and towns across the State.  The final straw was when I read and heard the call of Prof. Kodandaraman asking for all schools and colleges to remain closed until Telangana State was granted.  I assume that Prof. Kodandaraman is an eminent professor, and no matter what his political views, for someone to become a professor, he would have obtained a doctorate, which means that he would have applied the basic principles of logic and reasoning to arrive at a conclusion.

If there are two reasons, why the Telangana region has remained backwards, it is the lack of a single minded pursuit of education, and desire to work against adversities.  It is a simple cycle, the way I see it: first you need to be educated - I do not mean getting degrees, but education in the real sense of the word (but that is a different story).  Once you are educated, you need to get jobs, competing in a free and competitive world, Once you get a good job, your economic condition improves, and once that is achieved, it is possible to hand down this prosperity to the next generation.

The very act of denying education for a prolonged period of time is going to put every child to a disadvantage, make it difficult for him to compete in a much larger world than Hyderabad, and eventually do well for oneself.  I was aghast to learn recently that a student wrote in her exam papers that she could not prepare for her exams; she was ready to offer her services to the examiner just so that he could pass her in the exam.  This is what disruption to an education process can cause!

I have always lived with adversities.  I was born a Brahmin.  In India, being a Brahmin means that you fight your way through; there are no reservations in schools or colleges, there are no concessions or scholarships, or reservations in jobs.  In order to make a living my father had to move out of Andhra Pradesh.  That means that I was living in a new place,  learning a new language, a new culture, and yet trying to succeed. I never recall complaining about that.  Since then, I have been moving from one state to another, always an outsider, always working hard.  If I am successful  today, it is because of the two basic ideas that I was brought up to recognize: a) you cannot achieve anything without education, b) in order to achieve anything you need to work against adversities, and not try to subvert the system.

In light of my own limited understanding of what it takes to achieve something, I find it rather ridiculous that Prof. Kodandaraman has called for depriving students of the very education that could be their emancipation.  I also find it painful to see that the most simplistic way of looking at the correct picture has become to believe that another person can deprive you of what is rightfully yours.  You need to earn it, not through bandhs, and blockades but by working hard and with diligence. 

Telangana region has remained backwards, but let us stop blaming others for it.  Let us work to make our next generations stronger through education and hard work. Otherwise, we will continue to perpetuate the truth that the people of Telengana are a deprived lot.  

Lessons in Entrepreneurship...2

Every moment teaches me something in my journey of entrepreneurship, and I feel compelled to keep sharing my thoughts with all you, in the hope that you readers could benefit from my ramblings.

1. Continue to Dream: This is one fear I constantly have; that I will stop dreaming.  So, I make it a point to sleep long and well. Start my day with a few minutes to myself, where I live all my dreams. I note all the things that I want to do, then keep repeating them to myself every once in a while so that I do not forget them.  I break down my dreams into those which I want to achieve within a short time span, and those which could remain in the realms of dreams much longer, and then assign a task force to achieve them. 
2. Expect to be let down:  Not everyone shares your dreams or your passion.  There are many who want your success, but not the path to success.  They are the ones who want the dream, but do not want to share in it.  Expect them to say the right things but not be with you when you are in trouble.  These are the ones who are likely to say "what is in it for me?"  And these are the one to be wary of, because their path is definitely divergent from yours.
3. Expect things not to work: It is important to believe in your dream.  Which means that no matter how distant it appears, and how dismal the results appear, one cannot give up.  Things do not work, and this is one time my belief in Murphy has been completely reinforced.  Some of your objects could get miscommunicated to your team, some of the directions could be conveniently forgotten, and some others could be misdirected.  In any event, we have to remember the travails of Robert Frost and keep trying.  Most importantly, have a plan b, c, d, e.....
4. Trust, but verify: The path of growth requires that you have to entrust some of the tasks that you would do as an entrepreneur, to others; expecting that others will do what they are expected to, is naive.  You learn the hard way when some of the work that you entrust to others does not get done.  So, keep asking whether something has been done as required.  After something has been done, verify again and again....until you are satisfied, because that is the only person that matters for the organisation.  
5. Finally, do not lose hope:  The endearment of a lucrative job is always there.  How much better with all support systems, a nice salary, and easier and more clearly focused objectives. But then, think of this only as the worst case scenario and that will give rise to more hope.  Once we look around ourselves and see all the other entrepreneurs equally striving, equally succeeding and equally failing, there is hope.  When you see of the courageous few who have achieved their dreams, made a name for themselves - there is hope. 
6. Press the Pedal: So, continue to press the pedal.  If someone says you are overworking, do not believe it, because there is no such term for a growing entrepreneurship.  Care for the small things, care for the big things, keep pushing because that is the only way your dreams could eventually be achieved.

Happy Entrepreneurship!

P.S.: In our constant endeavor to improve, we have created a new website, and a new logo design.  Would love your comments. (www.mydatawise.com)  

The rise of India

As a new year begins, it is time to introspect on where we stand as a Nation, and whether we are headed in the right direction at all.

The last few months has witnessed an unprecedented euphoria over the fact that there has been a queue of visiting dignitaries of the world's largest economic powers, all of them wanting to do business with India.  Indian media has been gloating over the fact that these countries are talking about doing multi-billion dollar deals with India.

However, my this blog is not about what is so good about it, but what I perceive is not good with India today. I present a few serious issues that require answers:

1. Growth or growth with a purpose? The 8% growth has obfuscated the fact that mere growth cannot achieve anything unless there is a purpose to it.  Wealth accretion has become an end in itself.  This spectacular growth has been possible on the back of the IT industry which itself has grown based on rate arbitrages.  Unfortunately, while quite a bit of this wealth has percolated down to employees, a large proportion has remained with the owners of companies, who have hoarded it or used it to amass personal assets.  We have the Ambani brothers competing to spend splurge on needs which are way beyond what even a  wealthy person would need.  In this entire process, these neo-entrepreneurs have forgotten that money cannot be an end in itself and can at best be a means to something worthwhile.  The record of the West speaks for itself.  Warren Buffet, Bill Gates and a clutch of American Billionaires have decided to give away in excess of US$125 billion in wealth. This is nearly 10% of India's GDP! Surely they know what is the purpose of wealth.   
2. Widening disparities between the haves and have-nots: As a country, we have definitely not been able to stand for Socialism as provided in the Constitution (through the 42nd amendment in 1977).  The well known Gini Coefficient shows India at a disappointing 119 rank.   The income disparities between rural and urban India are particularly discouraging. 
3. Failure of governance: Companies have rarely given any importance to Governance.  The executive-shareholder of companies have failed to make a distinction between the two roles, and this causes a serious compromise of their position.  The Satyam Saga that rocked Indian corporate world is symptomatic of what happens through many Indian companies - it is just that they have not risen above the radar. It takes immense courage for a Narayana Murthy to decide to step down - I am not certain whether the remaining executive-shareholders of Infosys have the same courage. The choices are clear - either a governance code should be evolved by the powers that be, or we should, as a Nation, learn to live with continuing episodes such as Satyam.  At a larger level, the 2G scam which is now the flavor of town is a reflection of the same lack of distinction between the role a person plays and the possible influence that a decision that he or she takes can play on his or her own wealth or assets.  
4. Over-reliance on systems at the expense of people: The immense success of IT in being able to assert India's position in the Global order of merit has made us believe that creation of Systems is the panacea for all evils.  Every other 'intelligent' person that you talk to believes that he has a solution which is a cure for one of the big problems the country is beset with.  Unfortunately, most of this optimism in success of systems comes from arm-chair lotus-eating philosophers who have perhaps been bred in Western world, and see the solutions spawned in the west as the best for our ills.  Unless we realize that India is a completely
   
   
   different Nation, with a different set of problems, the systems approach is unlikely to succeed.  India's strength (and its weakness) is its people.  Unless we harness this strength, educate the people, convince them about what is good, no system will succeed.  Remember the stiff resistance from all public sector banks when the idea of bank computerization was first mooted.  Thanks to a steady influencing and education of the banking staff, the situation has completely reversed today.     
5. Measurement metrics: Learning from our western counterparts, we have established measurement metrics which are oriented towards measuring the end result, and not the process itself.  One of the major truths about Indians is that unlike the behavior of people (and therefore systems) in the western world, where a direct cause-effect relationship is expected, in India, the path is not so clear.  Therefore, the importance of measuring the process is more important.  Yet, if we look at all the statistics that are being put out (number of mid-day meals delivered, number of free text books delivered, grants or subsidies given, improvement in health parameters), we either concentrate on input measures or output measures and never the process measures.  What is time to impact, what are process losses, what are throughputs? Rarely do we find anyone measuring these, whereas in order to optimize resources this is perhaps the most important measure.  If indeed there are leakages in the system (in terms of wealth, or in terms of resources, assets) - Rajiv Gandhi once famously made the statement -"Of every rupee spent by the government, only 17 paise reached the intended beneficiary"; and yet we continue to be obsessed with the measurement of the end result rather than trying to measure the process itself.  Perhaps it is a matter of convenience for all concerned.  

While I have hope that things will correct (India is one country where there is a fantastic corrective mechanism), the frustration is that we are happy the way things are and do not try to change things.  Hoping for a better future in 2011.

Let there be light...

I am now fairly convinced that India will have to chart its own path of innovation.  The initial few decades since Independence saw the country struggling to manufacture basic products that it needed.  Since the economic liberation, companies started getting into technology agreements to bring in International Technology into the Country.  The third wave started in the beginning of this century, with International Companies starting to see the talent pool in the country, and begin setting business in the country, to export out.

This process has established one fact: Indians have the capability.  Every part of the world one goes to today, it  is recognized that Indian techies are good.  However, what this sudden enlightenment has done is ensure that students by the droves were getting into IT.  Initially, the best of the cream were sucked in, attracted by the much higher salaries and glamor of foreign travel.  Over time, the next layer, and then the next layer, and then the next layer of qualified persons started getting in, lured by the lucre.  Suddenly, you had all kinds of Engineers, Mechanical Engineers, Civil Engineers, anyone with any Engineering degree was a software engineer.

Companies were so desperate for people that they would pick anyone and put him in front of clients, the operative word was "billability".  People who barely knew how to write code were routinely being 'billed', with technically stronger team members backing them up.  The Government saw the boom, and suddenly you had more engineering colleges blooming.

And one day, the roof fell through - America sneezed and the world caught a cold. Recession was in the air, jobs were being cut, and everyone started desperately to try and protect their jobs. Suddenly, a lot of people who could hide behind more productive colleagues started getting exposed, as companies decided to trim the fat.  Jobs were being lost, and people suddenly started seeing how bad the quality of the staff was.

In fact, the quality of the staff was always the same.  The profit objective of the companies employing them forced them to ignore this.  The blame lies with two groups: the colleges which churn out engineers and other 'qualified' students by the thousands, without adding to any knowledge pool, and the companies, which fail in their duty to ensure that their staff are continuously trained to get better at their jobs.

It is a matter of time before the next wave of opportunities will arise for companies, and the mad rush to select  students will start once again.  The investments need to be made in educating the students while they are in colleges.  These is where I expect the next round of changes to happen; and these are my predictions (I am sticking my neck out):

1. Companies will start recognizing the difference between education at one college from that of another. Colleges providing better education will be seen to be better.  I am not referring to the current practices of ranking colleges, which have long lost their meaning, what with the amount of lobbying that goes on, but a more informal and yet recognizable input-output measure of education effectiveness.
2. As a consequence, students will start demanding a better education system,where what they learn is more important than whether they get a job or not, and if so, the nature of the job that they get.  Again, if the right inputs are provided to them, the right education (and therefore benefits at job) will result.
3. Colleges which want to be better will need to invest in the right kind of teachers - those who are genuinely interested in the well-being of their students, and not those who are 'just doing their job'. This would automatically also create a system whereby better teachers start demanding and getting better pays as compared to worse teachers.  Also, the AICTE payscales become redundant.
4. And finally companies will stop the practice of paying based on fixed norms (such as years of experience, degree, marks) and look for qualitative norms which are assigned based on capability of the individual and not the qualifications alone.

More on this topic later...